by Robert J. Walker
Saturday, February 27, 2010
A PLAN TO AVERT 'A PERFECT STORM' OF CRISES
Friday, February 26, 2010
POLITICAL CONTRIBUTION TRANSPARENCY URGED
The effort, led by the Center for Political Accountability and the Council of Institutional Investment and joined by nearly 50 institutional investor and shareholder advocate groups, was spurred by the U.S. Supreme Court's January 21 ruling in Citizens United v. Federal Election Commission, which CPA and CII argue "rewrote America's campaign finance laws."
Currently, 73 S&P 500 companies -- including nearly half of the S&P 100 dsiclose and monitor corporate political spending. These include Hewlett-Packard, Merck, United Technologies, e-Bay, Aetna and Microsoft.
On February 24, a letter was sent to the chairs of 427 companies that have yet to adopt disclosure and accountability policies for political spending.
In the letter, CPA and CII contend that by removing all but a handful of restraints on corporate America, the ruling "poses a major challenge to companies and their shareholders," warning: "It is likely to put companies under immense pressure to use shareholders' funds to support candidates, groups and causes whose positions and activities could threaten a company's reputation, bottom line and shareholder value."
"It's imperative that companies protect themselves from the pressure to give and form ill-considered spending," said Bruce Freed, president of CPA. "That's why adopting policies and procedures for political disclosure and accountability is so important for companies and their shareholders. The companies that have done so, including nearly half the S&P 100 have voluntarilty agreed to disclose and require board oversight of their political spending with corporate funds."
The Council of Institutional Investors, a leading advocate for good corporate governance, has long urged boards to disclose, monitor, assess and approve all charitable and political contributions made by their companies.
"Investors need to know how their money is being spent in the political arena," said Ann Yerger, the Council's executive director. "And boards need to step up to the plate and ensure that political checks the company writes enhance, not erode, shareholder value."
In addition to the CPA and CII, the following institutional investors and shareholder advocates are among those who have signed the letter: California Public Employees Retirement System, New York State Common Retirement Fund, New Jersey State Investment Counci, Connecticut State Treasurer, Trillium Asset Management, Domino Social Investment, Walden Asset Management, Green Century Capital Management, Nathan Cummings Foundation, Social Investment Forum, Sheet Metal Workers' National Pension Fund, International Brotherhood of Teamsters, Amalgamated Bank.
The Center for Political Accountability (CPA) is a nonprofit association or public union and corporate pension fund with corporate assets of $3 trillion. Member funds are major long term shareowners with a duty to protect the retirement assets of millions of American workers. The Council of Institutional Investors strives to educate its members, policymakers and the public about good corporate governance, shareowner rights and related investment issues, and to advocate for members.
Wednesday, February 24, 2010
HOW TO AVOID A DANGEROUS PRECEDENT
Yale University law professor Bruce Ackerman was among the many Americans left in a state of shock when the Justice Department exonerated Jay S. Bybee and John C. Yoo, who while serving in the Office of Legal Counsel in George W. Bush's White House were responsible for the notorious memorandum authorizing torture to derive information from enemy combatants.
Ackerman, who wrote some of the more brilliant challenges of the allegedly stolen presidential election of 2000, observes that the OLC was once primarily staffed by career lawyers. But by the time George W. Bush entered the White House it was overrun by political appointees such as Bybee and Yoo, who are by definition there to serve their benefactor rather than the public.
The professor worries that the Justice Department decision to not cite the authors of the memorandum for any wrongdoing established "a dangerous precedent."
In a Washington Post oped piece, Ackerman expresses concern that the memorandum willl serve as the precedent for giving the green light to the president, as commander in chief, to ignore Congress's statutory prohibition on torture and "order the military or the CIA to engage in any and all forms of abuse."
According to the Justice Department, Bybee and Yoo "acted professionally" in defending unchecked presidential power considering that they had the support of other political appointees in the OLC and prior to the issuance of the memorandum the White House was demanding a quick decision.
Ackerman believes this virtually guarantees that future political appointees will make certain they line up like-minded colleagues before releasing extremist legal positions in their memorandums during the next crisis. He further feels, however, that under the constitutional admonition that the president "take care that the laws be faithfuly executed," both the Commander in Chief and Congress have an obligation to fix that which is only too apparently broken.
The starting point, Ackerman feels, should be for Congress to work with President Obama to establish an executive tribunal that would ensure fidelity to the rule of law.
Rather than acting as lawyers for the sitting president, tribunal members would function as judges for the executive branch, nine in all, who would serve staggered 12-year terms. Thus, the president would be able to nominate three judges during a four-year period. The president's nominees would require Senate confirmation, an incentive for the chief executive to select fair-minded candidates rather than legal ideologues.
House and Senate committees would be able to challenge presidential actions before the tribunal. Once the panel has heard both sides of an argument, it would lay down the law for the executive branch. Should a private party gain standing to challenge an action by the tribunal, the matter could be heard by the Supreme Court, which could overrule decisions by the panel.
Noting that "if history is any guide, the Supreme Court will intervene on national security matters only rarely," Ackerman said: "In the meantime, the executive tribunal will assure Americans that their freedoms are no longer at the tender mercies of the Yoos of the world."
The Yale professor's plan to restore integrity to the process -- so obviously wanting in the torture memorandum case -- has sufficient merit that Congress and the president should get the wheels rolling for it, or something similar, to be created post haste.
Sunday, February 21, 2010
THE EROSION OF TRUST IN THE MEDIA
During World War II, from his reporting of Hitler's Anschluss to the bombing of London and overall progress of the war all the way through to the liberation of concentration camps, Murrow's reports offered a voice of reason and calm assurance that was as important to his listeners in the United States as Prime Minister Winston Churchill's words were to the people of Great Britain.
Results of the 10th annual Edelman Trust Barometer shockingly reveals that public confidence in news coverage has nosedived from 48 percent to 31 percent; in newspapers, from 46 to 32; in television news, from 44 to 20 percent.
Edelman bills itself as the world's largest independent public relations company, with 3,400 employees working from 54 offices around the world. According to the firm, this trust and credibility survey consisted of 25-minute telephone interviews conducted among 4,875 individuals in two age categories, 25 to 34 years old and 35 to 65, in 22 countries. All of those interviewed, according to the company, met the following criteria: college educated, household income within the top quarter in their country; read or watched business and/or news media at least several times a week; follow public policy news at least several times a week.
Friday, February 19, 2010
'BYE-BYE , BAYH: THE LAST BIPARTISAN
As the ancient saying goes, "Those who raiseth filthy lucre in sufficent supply will findeth themselves snugly ensconced in city halls, governor's mansions, state legislatures, the United States Congress and the White House." Okay, so that's not such an ancient statement, I came up with it five minutes ago, but it has a nice ring.
Special attention should be given to the emphasis on the adverb snugly, which is informed by the stupendous advantage those in office maintain and retain when they are savvy enough to keep their money machines grinding away in operative mode around the clock and fulltime, rather than consigning them to the fate of collecting dust and rust in the basement alongside all of those bumper stickers, buttons, car-tops and other campaign goodies.
More than a few clever students of the body politic feel that term limitations are the one and only answer to the problem of incumbency permanence. Indeed any number of governors, mayors and county executives are subjected to this restriction, all the way up the President of the United States in this land of the spree and home of the knave.
But it is the proverbial two-edge rapier. I can still think of a few in public office I'd feel comfortable with representing me forever and others that have me reaching for my pen and searching for a recall petition before they have raised their right hand and placed their left on an ecumenical book of the word.
It is a quandary all right, one that got ample ink only a few days ago when Senator Evan Bayh of Indiana had his "no mas" moment. The same Evan Bayh whose thoughtful centrism appeals to that all but extinct species still considering themselves to be middle-of-the-road voters. The same Evan Bayh who was short-listed for the Vice President slot on Barack Obama's ticket before Joe Biden, an outspoken liberal, was anointed.
Of equal interest, it is the same Evan Bayh who had collected the necessary petitions to have his name placed on the Indiana ballot for a third term quest in the Senate; had compiled opposition research information on Daniel R. Coats, the erstwhile U.S. Senator who once again figures to be the GOP nominee; and the same Evan Bayh who had hired core campaign workers and reportedly had more than $13 million drawing interest in his campaign bank account.
No matter how the numbers play out through a combination of retirements and shifts of seats controled by the two major parties, clearly there will be an overhaul in the makeup of the United States Senate. Would that the same could be said of the culture of partisanship in that same august body.
\
the Indiana Senator squirming in his seat in recent months as though he
couldn't wait to depart the Capitol and get to his kid's ball game?
contemplating leaving the current culture of the U.S. Senate, which he so clearly and concisely articulated in a statement to the press:
"There is too much partisanship and not enough progress
-- too much narrow ideology and not enough practical problem-solving. Even at a time of enormous challenge, the people's business is not being
done. "
In that gripping, 33-word